Posted by Hglee92 > 2021-05-25 15:24 | Report Abuse

fair value (FV) of RM1.68
based on sum-of-parts (SOP) valuation (Exhibit 3) adjusted for a 3% discount to reflect a 2-star ESG rating as appraised by us (Exhibit 5). The FV values MMC’s port division at 16x FY21F EPS (a 30% discount to its peers' historical average to reflect its lower margins). Maintain BUY.
 MMC's 1QFY21 core net profit of RM105.9mil (adjusted for
gains from sublease of land at PTP) came in at 25% and 31% of our full-year forecast and full-year consensus estimates respectively. We consider the results within our forecast but above market expectations.